Financial Organizations Experience More Cyberattacks and are Costlier

Netwrix has disclosed further insights about the financial, banking, and accounting sector, extending from its survey involving 1,610 IT and security professionals across over 100 countries. The additional findings provide an in-depth perspective on the specific challenges and trends within this industry as identified by the surveyed professionals.

According to the report, within the last 12 months, 77% of financial organizations detected a cyberattack, compared to 68% among other industries. Phishing and ransomware were the most common types of attacks across all sectors.

“Financial organizations are highly targeted by cybercriminals for several reasons. First, these organizations store large volumes of valuable information, which adversaries are naturally eager to steal. Moreover, they manage access to funds, which means any operational disruption is highly problematic. Accordingly, ransomware gangs may believe that financial institutions are more likely to pay a hefty ransom than other potential victims,” says Dirk Schrader, VP of Security Research at Netwrix.

The financial sector also experiences more targeted attacks on their IT infrastructure than other sectors. Indeed, 39% of financial organizations reported targeted attacks on their cloud infrastructure and 26% suffered targeted attacks on their on-premises footprint, higher than the 30% and 19%, respectively, reported among organizations overall.

“Because finance is a high-risk and highly regulated sector, financial organizations tend to have a more mature IT team, better security controls and more vigilant employees. As a result, attackers must leverage targeted attacks with more sophisticated techniques to infiltrate their IT environments,” says Ilia Sotnikov, Security Strategist at Netwrix.

The financial sector also reports higher expenses as a result of cyberattacks than other industries. In fact, 24% of financial organizations estimated their damage from incidents to be at least $50,000, compared to just 16% among organizations overall. To mitigate this risk, 73% of respondents in the financial sector either have a cyber insurance policy or plan to acquire one within the next 12 months, compared to just 59% of organizations in other industries. However, given the sector’s risk profile, insurance companies impose stricter security requirements on financial organizations: 49% of them needed to improve identity and access management (IAM) and 48% had to comply with privileged access management (PAM) requirements, compared to 38% and 36%, respectively, in other sectors.

To learn more about security trends, check out the complete 2023 Hybrid Security Trends Report or the financial organizations findings read Additional Findings for the Finance & Banking Sector from Netwrix.

Related News:

2024 Cybersecurity Trends to Expect Released by Netwrix

Enhancements to Netwrix Data Security On-Premises and in the Cloud


About Author

Taylor Graham, marketing grad with an inner nature to be a perpetual researchist, currently all things IT. Personally and professionally, Taylor is one to know with her tenacity and encouraging spirit. When not working you can find her spending time with friends and family.